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NONDISCRIMINATION TESTING FILE REVIEWS; SPOONER; REVISE BSC, I TEL  Form

NONDISCRIMINATION TESTING FILE REVIEWS; SPOONER; REVISE BSC, I TEL Form

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welcome to the 2013 employee benefits series my name is Gretchen Osborne and I'm an employee benefits manager at Sage today we're going to talk about the ADP and the ACP tests to refresh an employee is considered an hce if he or she has met either of the following tests the 5% owner test or the compensation test and here we have an overview of the ADP and the ACP test basically the ADP test limits the actual deferral percentage of the highly compensated employee group to ensure that their level of deferrals is not excessively above the deferrals for the non- highly compensated group and with the a ACP tests we're limiting the contribution percentage of the highly compensated employee group the actual contribution percentage of the highly compensated employee group to ensure that the level of contributions for the highly compensated group is not excessively above the level of contributions for the non- highly compensated group when we say ADP we're measur

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